Diversity and Inclusion - SEC

1 Diversity and InclusionSTRATEGIC PLANFISCAL YEARS 2020 SECURITIES AND EXCHANGE COMMISSIONCONTENTSMESSAGE FROM THE CHAIRMAN ..1 INTRODUCTION ..2 DEFINING Diversity AND Inclusion ..3 THE MISSION CASE FOR Diversity AND Inclusion ..4 GOALS OF THIS Diversity AND Inclusion STRATEGIC PLAN ..5 SEC Diversity AND Inclusion GOALS ..6 GOAL 1: Demonstrate leadership commitment and accountability ..6 GOAL 2: Foster a connected culture ..7 GOAL 3: Build a diverse talent pipeline ..9 GOAL 4: Leverage Diversity and Inclusion for mission 5: Promote business Diversity with SEC stakeholders ..12 SEC EMPLOYEE AFFINITY GROUPS ..13 HOW THIS PLAN WAS DEVELOPED ..14 ENDNOTES ..15 Our c ontinued commitment to promoting Diversity , Inclusion , and equal opportunity is critical to allowing the Commission to attract and retain talent with the mix of skills and expertise needed to maximize our AND Inclusion STRATEGIC PLAN, FISCAL YEARS 2020 2022 | 1 MESSAGE FROM THE CHAIRMANThe Securities and Exchange Commission depends on an effective, highly skilled workforce to carry out its mission protecting investors; maintain-ing fair, orderly, and efficient securities markets; and facilitating capital formation.

2 Our continued com-mitment to promoting Diversity , Inclusion , and equal opportunity is critical to allowing the Commission to attract and retain talent with the mix of skills and expertise needed to maximize our effectiveness. In ad-dition, leveraging Diversity and Inclusion throughout the agency helps ensure the Commission s regulatory programs and guidance reflect the Diversity of the investors and businesses who depend on our work. Put simply, in order to perform at the highest level, we need to ensure that our work and our workforce reflect a Diversity of thoughts, backgrounds, and am pleased to present the SEC s first Diversity and Inclusion Strategic Plan. This Plan, which was developed with input from staff throughout the Commission, outlines our goals and strategies for continuing to build a workforce that will deliver on our mission and fulfill our obligations to the investing public. The Plan also recognizes that diversi-ty, Inclusion , and opportunity should be reflected in the outward-facing aspects of the Commission s work, including through ensuring that our education and outreach efforts adequately encompass underserved communities.

3 Importantly, the Plan sets measurable goals for Fiscal Years 2020 2022 upon which we can evaluate our have said on many occasions that the Commission s greatest asset is its workforce. Implementing the Diversity and Inclusion Strategic Plan will help further our broader goals of increasing our capabilities; leveraging our shared commitment to investors; and promoting Diversity , Inclusion , and equality of opportunity among the Commission s staff. Each of us is responsible for ensuring the success of this Plan, and I look forward to working with my colleagues at the Commission to achieve these important | SECURITIES AND EXCHANGE COMMISSIONINTRODUCTIONAt the Securities and Exchange Commission (SEC), we recognize that our people are our most important asset. We also recognize that Diversity , Inclusion , and opportunity are essential to the agency s ability to effectively carry out its mission. These fundamental and value-enhancing tenets of our mission-oriented culture dictate that we continuously work to attract, hire, develop, and retain high-quality, diverse talent.

4 Doing so allows us to build and maintain a workforce that reflects a Diversity of backgrounds and experiences, as well as the Diversity of investors and market participants we serve. We also must strive to cultivate an inclusive work environment in which all employees are meaningfully engaged and have the opportunity to develop and succeed. Similarly, beyond our workforce, we are committed to promoting Diversity and Inclusion in the SEC s supplier network and in the industry participants the agency SEC developed this Diversity and Inclusion Strategic Plan (Plan) for Fiscal Years2020 2022 to provide a blueprint to build upon. We aim to continue making progresstoward promoting workforce Diversity , Inclusion , and opportunity, as well as supplierdiversity, in light of the dynamic and ever-changing nature of the markets we dynamics include shifting demographics and emerging technologies that affect theway we work and Plan includes measurable actions that are designed to help fully integrate Diversity , Inclusion , and opportunity in the strategic decision-making of the agency, enhanceorganizational effectiveness, and meet future challenges.

5 This Plan envisions that SECleadership, managers, and supervisors in all divisions and offices will assume directresponsibility for its implementation, recognizing that promoting Diversity and inclusionand ensuring opportunity are both an individual and a collective responsibility and should be a prominent part of the fabric and culture of the AND Inclusion STRATEGIC PLAN, FISCAL YEARS 2020 2022 | 3 DEFINING Diversity AND INCLUSIOND iversity is defined broadly and refers to the range of similarities and differences in individual and organizational characteristics that shape our workplace. These include national origin, language, race, color, disability, ethnicity, gender, age, religion, sexual orientation, gender identity, socioeconomic status, veteran status, and family structure. The concept also encompasses other differences among people, including geographic differences and, importantly, Diversity of thought and life refers to a culture that connects each employee to the organization; encourages collaboration, flexibility, and fairness; and leverages Diversity throughout the organization so that all employees are able to participate and contribute to their full | SECURITIES AND EXCHANGE COMMISSIONTHE MISSION CASE FOR Diversity AND INCLUSIONT here is strong support for the conclusion that Diversity in both leadership and the workforce is essential for maximizing mission effectiveness and impact.

6 Research demonstrates that organizations with a diverse workforce, especially within the senior management ranks, outperform their peers over Diverse organizations have proven to be more capable than their counterparts in attracting top talent, developing stronger relationships with customers and stakeholders, improving decision-making and innovation, and increasing employee engagement and satisfaction. Incorporating a Diversity of thought and perspectives into an organization s approach to solving problems and furthering its mission helps that organization achieve better addition to these Diversity -driven advantages in performance, federal law directs all federal agencies to seek to achieve a workforce drawn from all segments of society, to ensure equal employment opportunity, and to integrate Diversity and Inclusion as a key component of their human resources Federal law specifically requires federal financial regulatory agencies, including the SEC, to develop standards for workforce Diversity , and to take specific affirmative steps to seek Diversity at all levels of the agency s workforce in a manner consistent with applicable alone, however, is not sufficient to achieve these performance advantages.

7 The power of Diversity is greatly amplified in organizations that value differences and cultivate and empower Diversity of thought within the organization. A culture of Inclusion is not only essential to equitable and fair practices, but, when coupled with Diversity , Inclusion enhances mission effectiveness and innovation. A substantial body of research, and our own organizational history, strongly supports the notion that a tangible, continuous commitment to Diversity and Inclusion , and human capital development more generally, creates organizations that are more resilient and effective at achieving their missions than organizations that do not invest in, and address, their people and these reasons, the SEC has embraced Diversity and Inclusion as both a matter of legal compliance and as a mission imperative. Continuing, deepening, and expanding our commitment to Diversity and Inclusion will assist the agency in maintaining the highest standards of excellence in pursuit of its mission on behalf of investors and market AND Inclusion STRATEGIC PLAN, FISCAL YEARS 2020 2022 | 5 GOALS OF THIS Diversity AND Inclusion STRATEGIC PLANThis Plan sets forth five overarching goals in support of Diversity and Inclusion :GOALGOAL 1: Demonstrate leadership commitment and accountabilityDemonstrate leadership commitment and accountability through agency policy, messaging, and behavior that advances Diversity and Inclusion goals and objectives.

8 (SEC 2018 2022 Strategic Plan Goal )GOALGOAL 2: Foster a connected cultureCultivate a supportive, welcoming, inclusive, and fair work environment that allows employees to feel connected to the agency s mission and contribute to their full potential. (SEC 2018 2022 Strategic Plan Goals , )GOAL3 GOAL 3: Build a diverse talent pipelinePursue a comprehensive strategy to build and maintain a high-performing workforce drawn from all segments of American society. (SEC 2018 2022 Strategic Plan Goal )GOAL4 GOAL 4: Leverage Diversity and Inclusion for mission effectivenessUse SEC resources and services in a manner that reflects Diversity of investors and businesses. (SEC 2018 2022 Strategic Plan Goals , , , , )GOAL52 GOAL 5: Promote business Diversity with SEC stakeholdersAdvance Diversity and Inclusion in the SEC supplier base and with entities regulated by the SEC. (SEC 2018 2022 Strategic Plan Goals , , , )These five goals are designed to support the three major goals described in the overall SEC Strategic Plan for Fiscal Years 2018 2022:SEC Goal 1: Focus on the long-term interests of our Main Street Goal 2: Recognize significant developments and trends in our evolving capital markets and adjust our efforts to ensure we are effectively allocating our Goal 3: Elevate the SEC s performance by enhancing our analytical capabilities and human capital | SECURITIES AND EXCHANGE COMMISSION1 GOALSEC Diversity AND Inclusion GOALSGOAL 1: Demonstrate leadership commitment and accountabilityDemonstrate leadership commitment and accountability through agency policy, messaging, and behavior that advances Diversity and Inclusion goals and objectives.

9 (SEC 2018 2022 Strategic Plan Goal )1a. Strategic PlanningMaintain a strategic plan that aligns Diversity and Inclusion efforts with SEC strategic goals and Communication StrategyCreate and implement a communications strategy that further elevates Diversity and Inclusion as a key strategic priority and reinforces leadership additional investor outreach content and engagement initiatives specifically for diverse audiences, including traditionally underserved AccountabilityClarify through outreach by Office of Minority and Women Inclusion (OMWI), Office of Human Resources (OHR), and Office of Equal Employment Opportunity (OEEO) existing Diversity and Inclusion expectations for Senior Officers, managers, and supervisors, including how Diversity and Inclusion performance impacts evaluation the feasibility of division- and office-level Diversity and Inclusion performance metrics to promote accountability and best TransparencyRaise awareness by including information about Diversity and Inclusion on the SEC s external website, and maintaining a Diversity Dashboard and other tools to provide updated Diversity data to Senior Officers and SEC AND Inclusion STRATEGIC PLAN, FISCAL YEARS 2020 2022 | 72 GOALGOAL 2: Foster a connected cultureCultivate a supportive, welcoming, inclusive, and fair work environment that allows employees to feel connected to the agency s mission and contribute to their full potential.

10 (SEC 2018 2022 Strategic Plan Goals , )2a. Equal Employment OpportunityUse quantitative and qualitative data to evaluate programs and processes and identify barriers that may deter inclusivity and opportunity for to develop and implement initiatives designed to prevent discrimination, harassment, and other actions that undermine our commitment to Diversity , Inclusion , and equal , resolve, and adjudicate claims of discrimination, including Fair and Unbiased Selection ProcessesAdminister a fair and systematic approach for recruiting, evaluating, and selecting individuals for competitive service, excepted service, senior management, and professional development programs, including when assembling selection Employee Engagement and SatisfactionUse employee feedback, including Federal Employee Viewpoint Survey data, to create, update, and implement action plans to improve organizational culture; encourage leadership approaches that support employee engagement and belonging.